This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Boeing Tops Estimates but Shares Fall on Disappointing Guidance

Stocks in this article: BA

CHARLOTTE, N.C. ( TheStreet) -- Boeing (BA) beat Wall Street estimates as per-share earnings rose 29% on increased deliveries of commercial aircraft. But the aircraft maker issued disappointing current year guidance.

Boeing said it earned $1.8 billion, or $1.88 a share, in the fourth quarter. Analysts surveyed by Thomson Reuters had estimated $1.57. Revenue rose 7% to $23.8 billion. Analysts had estimated $22.7 billion.

Excluding items, largely a $406 million charge to settle litigation, fourth-quarter earnings were $1.23 billion, or $1.61 a share, up from $978 million, or $1.28 a share, a year earlier, and core operating margin rose to 9.4%.

Looking ahead, Boeing issued 2014 earnings guidance of $7 to $7.20 a share. Analysts had been estimating $7.57. Revenue guidance was set at between $87.5 billion and $90.5 billion, Analysts had been estimating $92.7 billion. The company also guided to between 715 and 725 commercial aircraft deliveries, up from 648 deliveries in 2013 and 601 deliveries in 2012.

"Strong fourth-quarter results underscored an outstanding full year of core operating performance that drove record revenue and earnings and increased returns to shareholders," said CEO Jim McNerney, in a prepared statement.

"Our Commercial Airplanes business accelerated delivery of its record backlog by successfully increasing production rates while also achieving important development milestones on the 737 MAX and 787-9 and launching the new 787-10 and 777X models with an unprecedented customer response, " McNerney said. "Our Defense, Space & Security unit overcame a tough operating environment to record expanded revenue, earnings and margins."

During the quarter, Boeing Commercial Airplane revenue was $14.7 billion, while operating margin was 10.3%. Boeing Defense, Space & Security's revenue rose 6% to $8.9 billion, while operating margin increased to 10.8 percent.

At year-end, Boeing had cash and investments totaling $15.3 billion and debt of $9.6 billion.

In premarket trading on Wednesday, Boeing shares were down $1.59 to $135.50.

Written by Ted Reed in Charlotte, N.C.

To contact this writer, click here.

Follow @tedreednc

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs